Pros Say: We're Only 2/3 Done Finding Bank Skeletons

Global stocks were down again Wednesday on continued signs of trouble in the financial sector. Experts tell CNBC that there is more bad news to come.

More Skeletons to Clear from Closet

Although John Hydeskov, senior analyst at Danske Bank believes we are about two-thirds through the 'cleansing process' in the financial sector, he warns CNBC that we may see more sharp losses in equity markets.

Short US Treasury Bonds

The $4 trillion U.S. budget deficit will eventually pop the Treasury "bubble" in the next 6-9 months, believes Enzio von Pfeil, CEO of EconomicClock.com. He tells CNBC that is why investors should short U.S. Treasury bonds.

Look Out for Dollar Short-Covering

There could be some dollar short-covering after the markets stabilize today, predicts Lee Wai Tuck, currency markets strategist at Forecast. He gives his dollar direction for 2009.

Obama is Positive for the Dollar

Meg Browne, senior currency strategist at Brown Brothers Harriman thinks that with the new Obama administration will be positive for the dollar going forward.

US Likely to Lead Recovery

The U.S. is likely to lead the world out of the current economic turmoil, possibly in 2010, says Karma Wilson, head of Asia equities at AMP Capital Investors.

Rid the US of Toxic Assets

Establishing an aggregator bank to absorb the 'toxic asset' or bad loans is the best way to accelerate U.S.' recovery, believes Ilian Mihov, professor of economics at INSEAD.

US Financials -- Off the Bailout List?

Majority of the second batch of TARP funds will unlikely be used to help the financials. Ian Bremmer, president at the Eurasia Group & Milton Ezrati, partner, senior economist & market strategist at Lord Abbett assess this shift.

A Revamp for US Tax System?

The last thing that Obama can do to make his recovery package fully effective, is to adopt a tax approach that adds more incentives to the tax system, says Frank Lavin, former White House political director.

Stimulus Plans vs Tax Cuts

There won't be an Obama rally as the stimulus package that the new administration is going to enact is not going to any good, says Jeff Carter, independent trader at Hydeparkangels.com. He tells CNBC why he thinks tax cuts are a better option.

Banks Hiding Bad Assets?

Banks need to come clean about their bad assets, Stephen Pope from Cantor Fitzgerald Europe told CNBC Wednesday. Pierre Yves Gauthier from AlphaValue has moved to ‘overweight’ for the European banking stocks.